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Labour Market Profile LABOUR MARKET PROFILE 2016 Tanzania and Zanzibar LO/FTF Council’s Analytical Unit Copenhagen, Denmark Danish Trade Council for International Development and Cooperation Labour Market Profile 2016 PREFACE The LO/FTF Council is the Danish trade union council for international news sources (e.g. The Economist, the British international development co-operation. It was Broadcasting Corporation (BBC), LabourStart, The established, under a slightly different name, in 1987 by Guardian, etc.) together with local sources such as trade the two largest Danish confederations, the Danish unions centers, NGOs, national news, the LO/FTF Federation of Trade Unions (LO) and the Danish Council’s Sub-Regional Office, among others. Confederation of Salaried Employees and Civil Servants (FTF). The organization activities are related This report also collects references from several to: i) to support democratic development of the trade indexes, e.g. the Global Rights Index, the Doing union movements in Africa, Middle East, Asia and Latin Business Index, the Governance Indicators, and the America; and ii) to contribute to democratic Human Development Index. The indexes’ methodologies development in the societies in which the unions operate. and the data quality can be followed by the sources websites. The LO/FTF Council presents this Labour Market Profile as a yearly updated report that provides an overview Most statistical data of trade union membership is of the labour market's situation. gathered through collaboration with trade centers and research. Notwithstanding, the measurements of trend This country profile presents the recent main of trade union membership, Collective Bargaining developments and is not an in-depth analysis. Agreements (CBAs), women’s trade union membership Nevertheless, it shows a wide range of data in a and occupational health and safety (OHS) committees reader-friendly style. Certain key findings of this report are a challenge. The used data of these can be found on the Executive Summary. abovementioned indicators should be interpreted with some reservations. The report is divided in 11 thematic sections, which includes trade unions, employers’ organizations, tripartite structures, national labour legislation, ACKNOWLEDGMENT violations of trade union rights, working conditions, This Labour Market Profile is prepared by the LO/FTF situation of the workforce (with subsections such as Council’s Analytical Unit in Copenhagen with support unemployment, sectoral employment, migration, from our Sub-Region Office in Tanzania as well as the informal economy, child labour, gender, and youth), Trade Unions Congress of Tanzania (TUCTA) and the education (with subsection vocational training), social Zanzibar Trade Union Congress (ZATUC) in terms of protection, general economic performance, and trade. data collection of trade union membership. Additionally, the reader finds an Appendix with a list of the ratified ILO Conventions and an updated status All other labour market profiles of the countries where of trade unions in Tanzania in terms of members and LO/FTF Council operates are available at our website: CBAs. http://www.ulandssekretariatet.dk/content/landeanaly ser As indicated, the report is driven by statistical data selection from international databanks, surveys and Should you have questions about the profiles you can reports (e.g. the International Labour Organization contact Kasper Andersen ([email protected]), Manager of (ILO), the International Trade Union Confederation the Analytical Unit. (ITUC), the World Bank, the U.S. Department of State’s Annual Country Reports on Human Rights Practices, Cover Photo: Carsten Snejbjerg WageIndicator Foundation, the Africa Labour Research & Educational Institute (ALREI), etc.) as well as national Design and layout: Adriana Romero statistical institutions and ministries, and others. Moreover, narrative inputs are collected from Tanzania & Zanzibar 2016 Page ii Danish Trade Council for International Development and Cooperation Labour Market Profile 2016 Tanzania & Zanzibar Labour Market Profile EXECUTIVE SUMMARY he United Republic of Tanzania has experienced a side, the changes in the industry sector is a step towards T rapid economic growth during the last decade a more economic transformation On the negative side, followed by a steady increasing labour productivity. that latter sector is not offering enough new jobs and a The number of working poor has dropped fast; a majority find their possibilities in the service sector with middle-class is on a rise and with an improving equality a lower labour productivity. in terms of the income distribution. The volatile inflation in Tanzania has affected the real wages purchasing Changes are also demonstrated by an internal power, though. In additiion, the country continues being migration from rural to urban areas in the country. This far below the sub-Saharan Africa average in terms of is driven by by the youth that is seeking for better jobs. the Gross Domestic Product (GDP) per capita in the Also child labour remains very acute. Gender-based purchasing power parity (PPP). It remains complicated discriminations in terms of wages and protections in doing business, especially trading across borders, employment are present. The education system has getting credit and paying taxes. been hard affected by resource shortages during recent years and the enrolment in schools on all levels The government in Tanzania mainland implemented five experienced drops. The membership of social protection labour market related legislations in 2015 along with shemes have increased fast, but remain with very low one new act in Zanzaniar, but none in 2016. The national coverages. International Trade Union Confederation (ITUC) has various observations with legislations that affect Tanzania mainland negatively the labour markets environment. Two key The growth of trade union membership in Tanzania points are that the state has lack of resources to mainland were on a fast increase on absolute terms implement the labour market regulations in practice in during the last decade. This influx has mainly been the formal sector and indirectly not covering a vast related to a growing number of wage & salaried majority (85 percent) of the labour force that operate workers. In recent years, the total membership’s in the informal economy. It has also been noted that intensification has been stalled, though. Likewise the workers are confronting regular violations of trade coverage of collective bargaining agreements (CBAs) union rights. also increased but lost its tempo. These negative impacts have been related to financial constraints as The labour force employment rate fell during the last well as challenges in the education system, among decade, especially among the youth. More and more others. people were instead inactive on the labour market. Unemployment is not a critical issue in Tanzania, but is Zanzibar more affected by skills mismatch between job The trade union movement in Zanzibar had an influx of requirements and qualifications due to a high incidence new members due to an improved social dialogue with of under-education. the government and employers’ organizations as well as creating possibilities of affiliated organized workers The employment in the agricultural sector has been from the informal economy. Despite these fallen significantly, entering into the service sector and improvements, organizational reforms in 2015 affected slightly also in the industry sector. This is reflected in a hard the membership that fell by 11 percent in the considerable drop of own-account workers that instead period from 2015 to 2016 (September). On the became contributing family workers or wage & positive side, social security schemes have opened up salaried workers. These changes have been illustrated for workers from the informal economy. by an increasing GDP growth in the industry sector while the agricultural sector has more or less been flat and the service sector was dwindling. On the positive Tanzania and Zanzibar 2016 Page iii Danish Trade Council for International Development and Cooperation Labour Market Profile 2016 COUNTRY MAP Source: The CIA World Factbook Tanzania and Zanzibar 2016 Page iv Danish Trade Council for International Development and Cooperation Labour Market Profile 2016 TABLE OF CONTENTS Preface ................................................................................................................................................................................................................ ii Acknowledgment ................................................................................................................................................................................................ ii Executive Summary ........................................................................................................................................................................................... iii Country Map ......................................................................................................................................................................................................iv Trade Unions .......................................................................................................................................................................................................1 Tanzania, mainland ..............................................................................................................................................................................................................
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